The Simple Accountant

Bond Expert: Monday Outlook

Macro Man's point regarding the interests of foreign holders of US assets is well taken.

It seems also that the US authorities are beginning to take notice that whileethe super easy monetary policy has helped the financial economy to avoid total catastrophe, it has not done so much for the real economy.

Unchecked dollar depreciation + liquidity fueled speculation in commodity prices = further misery for the growing legion of the un/under-employed. Perhaps the authorities are planning real -as opposed to rhetorical - support for the dollar in hopes of heading off a disgruntled electorate at the mid term? (Yes, I do understand that the Fed is independent of political motivation).